Pelikan International
Pelikan International Corp Bhd
appears to be bouncing back from a brief correction phase.
Yesterday, the share returned above the 14-day simple moving average (SMA) line as it attempts to resume its ascending trend.
The stock, which has been on a steep incline over the 10 months, could be attempting to surpass its recent closing high of 77.5 sen and head towards a higher price target of 83 sen.
If the correction continues, the stock will be buffered by the rising 50-day SMA, en route to support levels of 67.5 sen and 60 sen.
The slow-stochastic is regaining positive momentum at 38 points while the 14-day relative strength index (RSI) has risen above the 50-point midline.
TSH Resources
TSH Resources Bhd is finding some bullish momentum as it makes another attempt at crossing the RM1.07 resistance.
The share could rise towards a higher target at RM1.11 in the event of a positive breach.
Meanwhile, support can be found at RM1.02 and 99 sen.
There are positive developments on the technical indicators as evidenced by the rise of the RSI to 61 points, and the recovery of the slow-stochastic to 25 points.
The daily moving average convergence and divergence (MACD) line also crossed above the zero line yesterday to suggest a resumption of a positive trend.
Hap Seng Consolidated
Hap Seng Consolidated Bhd moved higher for a second day yesterday as it attempted to retrace the losses it made in the previous week.
While trapped below a steep downtrend - the stock has lost about 37% of its value since end-January this year - there could be some short-term positive retracement should the share cross above the falling 14 and 21-day SMA lines.
A breach in the SMA resistance could signal a rally towards a price target of RM5.34.
At present, the technical indices have recovered from oversold conditions with the slow-stochastic rising to 46 points and the RSI at the 50-point midline.
Support for the stock is pegged to RM4.66 and RM4.40.
The comments above do not represent a recommendation to buy or sell.
